Thailand’s finance ministry closes 2 insurance coverage firms because of Covid-19 claims

After an overwhelming variety of Covid-19 claims caused 2 of Thailand’s insurance providers to owe billions of baht in compensation, Thailand’s finance minister has revoked the providers’ business licenses. The choice was made effective yesterday.
One provider, Southeast Insurance, owes thirteen billion baht in compensation, while the opposite, Thai Insurance, owes four.6 billion baht. The Secretary-General of the Office of the Insurance Commission says the insurance reserves and capital funding ratio of the two corporations are under the authorized minimum. He noted the firms now have more liabilities than belongings, and have unreasonably delayed compensation payments to their prospects. Unlock claimed they’ve failed to document compensation payments as required.
The secretary-general added that the OIC has been trying hard to solve the firms’, but hasn’t been successful in doing so. He said the revocation of the licenses will have an effect on only the COVID-19 coverage holders, whereas other life and non-life insurance policies have been transferred to other suppliers.
The secretary-general said the OIC and the General Insurance Fund shall be responsible for compensation funds of excellent claims for the two corporations. The OIC has set up advisory centres to receive complaints and facilitate debt compensation requests.
The OIC will let clients of each corporations convey documentary proof to the fee and file for a claim. After receiving a request, the OIC pays for claims utilizing reserves from the General Insurance Fund, based on the regulator.
SOURCE: Thai PBS World | Bangkok Post

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